A clarification needed on cash budget

rudhir8

New member
I have a past exam question on cash budget where the figures are given for the period November to June including the following:-

7. The opening balance is Rs15,000.

Then part a requires a creation of the cash budget from January to June.

My question is, is the opening balance given for November or for January? Logically, I think it is for November.
 

joel.francis.7351

Par 100 posts (V.I.P)
Well...i think if opening balance is of november then first u need to prepare cash budget from nov to dec...so as to arrive at opening balance for the month of jan
N there after arriving at opening balance of january u can prepare cash budget for period jan-jun
 

shreyadas

Par 100 posts (V.I.P)
that opening balance is of nov...as transactions are given from nov ?
can you provide entire question so as to interpret correctly?

happy to help and Let me know if u hv any more doubts..
 
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